2026 Airline Stocks with High Return Rates: Investment Insights for Growth

The global airline market is entering a pivotal period as investors begin to look for airline stocks with the potential to generate real returns. 2025 has proven that the aviation sector is recovering strongly after the pandemic, and as we move into 2026, this trend continues. This article provides an overview of investing in airline stocks through an analysis of six key companies, covering both Thailand and the United States.

Background: Aviation Strengthening in Thailand and Worldwide

Global travel remains robust. The demand for business and leisure travel post-COVID-19 shows no signs of decline. In 2025, passenger numbers increased during major holidays like Christmas and New Year. Meanwhile, international routes, especially in the Asia-Pacific region, are gaining importance. These factors make airline stocks assets to watch closely.

Selection Criteria: How to Find Suitable Airline Stocks

Not all airline stocks are suitable for your portfolio. Smart investors look for:

• Cash flow stability: Companies with consistent revenue and good cost management
• Long-term strategy: Fleet upgrades, route expansion, and efficiency improvements
• Geographical positioning: Access to growing markets or strategic locations
• Financial health: Reasonable debt levels and manageable asset valuations

Thai Airline Stocks: Local Industry on the Rebound

Thai Airways International (THAI): Learning from Restructuring

Thailand’s national airline completed a major debt restructuring in mid-2025. Currently, it operates flights to over 60 destinations worldwide. Supported by government backing and a tourism recovery, Thai Airways is well-positioned to increase profitability.

At a price of 3.32 THB per share and a market cap of 6.2 billion THB, this stock may appeal to investors seeking loyalty and undervaluation, likely to decline when Q4 2025 earnings are released in early 2026.

Bangkok Airways (BA): A Boutique Strategy

This company has a unique advantage: control over key airports like Koh Samui, which diversifies revenue streams. Trading around 15.10 THB per share, BA has a market value of 65,000–70,000 million THB and reported EPS of 0.80 THB.

Strong assets (approximately $1.63 billion USD) combined with steady profitability make this stock a stable choice for investors seeking growth and consistent income.

U.S. Airline Stocks: Opportunities for Higher Returns

Delta Air Lines (DAL): A Major Player with Strong Revenue

In the second half of 2025, Delta reported $16.6 billion USD in revenue and $2.1 billion USD in operating income. Operating over 1,250 aircraft, it benefits from flexible pricing strategies supporting all passenger segments.

Analysts see DAL as a strong buy, with a 1-year target price of $64.37 USD. Despite a YTD return of -6.96%, signs of solid free cash flow and a recovery in business travel suggest profits could emerge early 2026.

United Airlines Holdings (UAL): Expanding International Routes

United’s core strategy focuses on long-haul international routes. As demand for international travel increases, the company plans to purchase new, more profitable aircraft.

Trading at $92.25 USD with a market cap of $303 billion USD, UAL is rated a “Buy” with a 1-year target of $102.24 USD, implying about an 11% upside. In Q2 2025, EPS was $3.87 USD—below expectations—but demand for premium services remains strong.

Southwest Airlines (LUV): Cost Challenges

Southwest, focused on domestic U.S. travel—the largest market globally—is facing cost pressures. Trading at $36.51 USD, it has a YTD return of +8.60%. While positive, analysts recommend “Hold” due to rising labor and fuel costs.

The 1-year target price of $30.97 USD indicates downside risk. With a market cap of $21.9 billion USD, this stock may suit patient investors waiting for further order growth.

American Airlines (AAL): A Risky Yet Potentially Rewarding Play

AAL, operating around 6,800 flights daily to over 350 destinations, has faced challenges, with a YTD return of -28.23%. Its stock price is $12.51 USD, with a market cap of $8.22 billion USD.

However, analysts recommend “Buy,” citing potential for recovery through cost control and loyalty revenue. Despite high expenses and low valuation, risk-tolerant investors might find opportunities for multi-year gains.

Conclusion: The Time for Airline Stocks Is Coming

2026 presents a critical window for airline investors—from more stable Thai stocks like BA to higher-risk U.S. options. Each offers something different: Thai airline stocks like BA may provide a foundation of stability, while DAL and UAL in the U.S. are poised for growth.

Earnings for Q4 2025, to be released around January–February 2026, will be key. In summary: choose airline stocks aligned with your risk appetite and diversify your portfolio across regions and geographies.